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Student Credit Card Debt

Axsmith-Law-Debt-Settlement-Relief-Divorce

It seems almost unbelievable,doesn’t it?

Four years ago, Mitzi Pool entered the University of Central Oklahoma with a cheery smile and an optimistic outlook. Three months later, she hanged herself in her Edmond dorm room.

Norman High School graduate Sean Moyer entered the University of Texas at Dallas in 1993 on a full-ride academic scholarship.  $2,500 debt ‘was a mountain’ to UCO student.  Debt worries lead to suicide

Five years later, he hanged himself with a belt in his Norman home.

The two students shared the same burden: overwhelming student credit card debt.

Such a paltry reason to end it all…

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axsmith-law-foreclosure-debt-GameofLoans

This statement from “The Motley Fool” interested us.

When it comes to buying power, college students are in demand.  That makes them “target demographics” for credit card companies.  Credit card applications will be put in their orientation bags and shopping bags at the school book store.

Interesting – credit cards available on campus?  Sometimes the kids don’t apply for credit cards…or don’t know they did.

At the start of her freshman year at the University of Arkansas, Aletha Boggs, 19, got a coupon for a free Subway sandwich. When she went to collect her complimentary lunch, she was instructed to fill out a card with her name and address, completely unaware that it was a credit card application she was filling out. A week later Boggs was surprised to find a credit card in her mailbox with a $2,000 limit.

Now, less than a year later, her card is maxed out and she is struggling to pay down the outstanding balance. “I don’t really know how to do the budgeting and now I’m lagging behind,” Boggs admitted.

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Credit Cards Piling Up – Axsmith Law Blog

But who doesn’t want “free” money? And when you’re young, you can easily be tricked.

Those words are becoming all too familiar to college students across the United States. Inexperienced in the ways of credit, they sign up for credit cards, get the free T-shirt, and open themselves up to years of crippling debt. 

According to a 2001 Nellie Mae survey, the number of students with credit cards increased 24 percent from the previous year. Between the freshman and sophomore years, the proportion of students with credit cards jumped from 54 percent to 92 percent. 

Years ago a college graduate’s main debt would have been student loans. Now-adays the average college student doubles his credit card debt and triples the number of cards in his wallet between freshman year and graduation. 

Furthermore, according to the Nellie Mae survey, 21 percent of undergraduates with credit cards carry balances between $3,000 and $7,000 – a 61 percent increase over the 2000 numbers. Graduating students average $20,402 in combined education loan and credit card balances. 

It’s inevitable that there will be a destructive end.

If you need help with credit card debt, debt relief, debt settlement, phone Axsmith Law LLC at (202) 285-5415,

 

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